S&P 500, Nasdaq Hit Record Closing Highs as WTI Crude Falls on Iran Peace Deal Hopes

On May 26, 2026, the S&P 500 and Nasdaq Composite closed at record highs, diverging from European markets, as investors weighed optimism over a potential U.S.-Iran peace deal that could ease the Strait of Hormuz blockade. The S&P 500 advanced 0.61% to 7,519.39, and the Nasdaq rose 1.19% to 26,656.18, led by chip stocks. The Dow Jones Industrial Average fell 0.23% to 50,462.41. Oil markets split: U.S. West Texas Intermediate crude dropped 2.81% to settle at $93.89 per barrel, reflecting hopes for a deal that would resume shipping, while Brent crude jumped 3.58% to $99.58 after U.S. missile strikes in southern Iran heightened fears the ceasefire could collapse. European shares declined, with the STOXX 600 off 0.57%. U.S. consumer sentiment deteriorated in May, data showed, while Treasury yields fell—the 10-year note yield dropped 8 basis points to 4.493%. The dollar index edged up 0.1% to 99.14. Gold slipped 1.36% to $4,508.39 an ounce amid rate-hike bets.